System of protecting bank-checks.



UNTTED STATES Patented November 8, 1904.

PATENT @FFTQE.

SAMUEL M. TRAPP AND MATILDA L. TRAPP, OF SEATTLE, \VASHINGTON.

SYSTEM OF PROTECTING BANK-CHECKS.

SPECIFICATION forming part of Letters Patent No. 774,345, dated November8, 1904.

Application filed anuary 11, 1904. Serial No. 188,634. (No specimens.)

To aZZ whom, it near/y concern.-

Be it known that we, SAMUEL M. TRAPP and MATILDA L. TRAPP, citizens ofthe United States, residing at Seattle, in the county of King and Stateof Washington, have invented certain new and useful Improvements inSystems of Protecting Bank-Checks, ofv which the following is aspecification.

Our invention particularly relates to the A description of our system asapplied to bank-checks will be a sufficient indication of itsapplication to other purposes.

In the accompanying drawings, illustrating the application of theinvention, Figure 1 represents a fragmentary sheet upon which is markeda collection of numbers or other symbols, and Fig. 2 a bank-checkwhereon one of such symbols is used.

According to our system duplicate sets or collections of numbers orother symbols, such as alphabetic letters, are provided and disposed inseries or groups. One of each such sets is furnished to a depositor,while the other one is retained by the bank; but no two depositors havesimilar sets of numbers. The groups of numbers of each set may bearranged consecutively, at random, or, in fact, in any desired way; butonly such numbers as have the same initial digits, which we will forconvenience designate as characteristics, will be placed in the samegroup. Each group characteristic indicates a predetermined value whichis mutually understood by the holders of both copies of any one set andwhen marked upon a check notifies the paying-teller of the bank havingthe deposited funds of a drawer that no amount of money shall be paidupon that particular check which exceeds the value assigned to thatcharacteristic. For instance, the drawer of the check finds by referringto his list, such as Fig. 1, that the group of numbers having 17 for itscharacteristic digits indicates, say, two hundred dollars. So he selectsany number shown in this group for example, 1758 -and writes the amountupon the check, which is otherwise drawn in the usual way, and marks offthe appropriated number from his list. When the checkis presented at thebank for payment, the teller upon consulting his book containing thedepositors duplicate list of numbers finds within the group having 17for a characteristic the entire number inscribed upon the check andimmediately marks it off from his list and pays the check, provided theamount written upon the latter does not exceed the value assigned to thegroup having 17 s for its characteristic. Again, suppose a check ispresented to the bank for four hundred and ninety dollars and bearingthe check-number of 8127. Then the teller by reference to the drawersduplicate list discovers this particular number appears on the listuncanceled, but that the numbers within this group and bearing 81 for acharacteristic are assigned no greater value than one hundred dollarseach, and the teller upon inspection recognizing the signature to begenuine is led to discover that the check had been fraudulently raisedfrom forty-nine dollars and by refusing to pay the same saves the bankfrom loss, as under the common law the drawer can only be charged withthe original amount unless by carelessness the drawer facilitates theforging, when the loss falls upon him.

It is apparent with the use of our system that the depositor isprotected either from compulsion or under duress to write out a checkfor any great amount of money, as the value of the check is determinedby the particular number selected irrespective of whatever else mayappear on a check. Furthermore, the payment may be stopped altogether bysimply using the same number a second time, for, as aforementioned, theteller is supposed to cancel each number as it is utilized. It is alsoapparent that this system may be used with the checks now in use and theseveral numbers of which may be inserted thereupon in such a manner asto appear to designate the number of the check rather than as valuethereof. As a further precaution the fact that no two depositors havesimilar lists of numbers and that no number is used twice by the samedrawer and the several numbers of each being selected at pleasure makesthis system of protecting checks exceedingly reliable and at the sametime so simple as to be readily understood.

Having described our invention, what we claim as new, and desire tosecure by Letters Patent, is-

The protective bank-check system consisting of duplicate lists ofnumbers, severally divided into groups each number of the respectivegroups having a characteristic 0r initial digit or digits designatingapredetermined 15 monetary value for each and every of said numbers inits respective group and the digits following said characteristics beingused for identification only, substantially as described.

In testimony whereof we affix our signatures 20 in presence of twowitnesses.

SAMUEL M. TRAPP. MATILDA L. TRAPP Witnesses:

PIERRE BARNES, M. E. BREWER.

